About this Show

The Kudlow Report

News/Business. Larry Kudlow. Larry Kudlow provides his unique perspective on business, politics and investing. New.

NETWORK

DURATION
01:01:00

RATING

SCANNED IN
San Francisco, CA, USA

SOURCE
Comcast Cable

TUNER
Channel v58

VIDEO CODEC
mpeg2video

AUDIO CODEC
ac3

PIXEL WIDTH
704

PIXEL HEIGHT
480

TOPIC FREQUENCY

Us 14, Kathleen Sebelius 8, Sebelius 7, Boston 6, New York 6, Obama 4, Paul Ryan 4, Larry Kudlow 3, Michelle Snyder 3, Betsy Mccaughey 3, Cigna 2, Etna 2, Unitedhealthcare 2, Volkswagen 2, Cla 2, Ben Bernanke 2, Tim Murphy 2, Andy 2, Andy Bush 2, Jack Kemp 2,
Borrow a DVD
of this show
  CNBC    The Kudlow Report    News/Business. Larry Kudlow. Larry Kudlow provides his  
   unique perspective on business, politics and investing. New.  

    October 30, 2013
    7:00 - 8:01pm EDT  

7:00pm
facebook's fine. be a little conservative. i am jim cramer and i will see you tomorrow! good evening. i'm larry kudlow. this is "the kudlow report." we are live at 7:00 p.m. eastern time and 4:00 p.m. pacific time. we have some breaking news to kick things off right away. a just-released nbc news/wall street journal poll shows that president obama's standing is taking a real beating in the wake of the obama care rollout. this is the weakest showing of his five-year tenure in that poll. just 42% of americans approve of the president's job performance while 51% disapprove, but president obama is not backing down on obama care.
7:01pm
he's just wrapped up a visit to boston where he fronted an impassioned rally in defense of his health care, hardline, no backing down and he gave no quarter and importantly, no delay. that's what he seems to be against and the president is most insistent and defiant against criticses of obama care. take a listen. >> nobody's losing their right to health care coverage, and no insurance company will ever be able to deny you coverage or drop you as a customer altogether. those days are over and that's the truth. that is the truth. >> all right. we'll get to fact checking in just a minute. the president was in boston because he wanted to use romney care as an example of a slow starting, but successful health care reform law. listen to this one. >> and by the way, all the -- all the parade of horribles, the worst predictions about health care reform in massachusetts never came true. >> all right. now cnbc had a special producer
7:02pm
fact-checking the president's speech and he looked into this claim right away and here are some pack, okay? premiums in massachusetts have soared. they have the most expensive individual insurance premiums in the country. we also know that emergency room and doctor waiting times are among the highest in the country and let's not forget that taxes and spending in recent years to support the plan are under governor duval patrick have gone up substantially. we'll look at more of the claims by president obama in just a moment, but first, president obama now not the only one stonewalling for his health care plan. secretary secretary kathleen sebelius trying to get some answers about the disastrous obama care rollout. nbc news steve handelsman joins us. >> part of the parade of horribles as president obama calls it is millions of americans losing their health care and that's happening here on capitol hill, obama hhs
7:03pm
secretary kathleen sebelius says blame insurance companies for millionses of americans getting lers and emails that they're getting dropped. republicans said president obama, with the help of kathleen sebelius, won reelection promising that if you like your health care coverage, if you like your insurance, if you like your doctor you can keep them. that, said a republican, amounts to political deception. >> millions of individuals who by listening to speeches like yours voted believe in one thing and now found themselves without coverage and are now scrambling to find coverage. >> no worry, said sebelius and the democrats here at the hearing on capitol hill today. anybody who is dropped can get obama care. >> so this notion that people are being turned away is preposterous. >> they'll be able to get another plan, won't they? >> actually, it's the law that they must get another plan.
7:04pm
>> sebelius is here today, larry and president obama in boston charged that insurance companies are dropping people from their rolls because insuring them under the scriptures of obama care, providing more coverage would cut into insurance company profits. larry, back to you. >> steve handelsman, thanks very much for that coverage. joining me now to react to everything we just heard health policy expert betsy mccoy. she's the author of the book "beating obama care" and we welcome back dr. bill grace, founder of gray's oncology at new york medical college. betsy mccoy, is it true? if your policy is canceled, are you going to stay on another policy or is it more complicated than that? >> you're required to have coverage under this law, the affordable care act, but what's happened is millions of americans who were promised that they could keep the plans they liked are being herded out of those plans. you could hear the whip cracking
7:05pm
in the background and herded into these exchanges where they will be forced to buy the one size fits all government-design plan at a price the government tells them they can afford. >> and they might be herded out of their doctor. >> that's right and these plans on the exchanges offer you much less access to doctors. most doctors are not willing to participate because the doctors who do are being paid medicaid-type rates. you can't go to a fancy hospital like cedars-sinai in l.a. and new york presbyterian in new york. not anymore. >> bill grace, let's just pursue that for one second. >> if you go into the government exchange, you're probably going to experience premium shock, right? >> if you're healthy you will have a massive shock. >> all right. in the exchange you get subsidies. >> that's right. >> if you go to -- >> and we'll cover this later in the show. if you go to insurance companies not listed on the government exchange, do you know you don't get the tax credit and you don't get the subsidy? >> i didn't know that.
7:06pm
>> that's very important and i'm not sure people get that, that's why this thing is really going to rip apart the private individual insurance market. >> i think what you have is in these risk corridors there really is no reward and so all of the kinetics are going towards the young and healthy that they need, are going to be largely displaced by a lot of people that are older and infirmed and who desperately need health care coverage and they'll look at themselves inside those health care exchanges versus outside with the big three who are smart enough to stay out of this mess. >> cigna and united. >> anybody watching the hearings or the president's speech today would also be stunned by the big brother, washington knows best, the experts will decide what kind of health plan you get. the secretary told congress several times, well, we promised you could keep the plan you like, but now we're telling you, you had a plan that was a scam, that was garbage and you were
7:07pm
too stupid to know it, so now we're forcing you out of that plan. >> can i just go back to that point because i think this is so important. the president completely glossed over it in the boston speech as i thought he would. sebelius, on the other hand, has to cope with it. so they knew going back march 2010. >> they knew before the law was passed. that's right. >> and they knew as time went on that they were creating such tough regulations that the grandfathering clause would no longer hold up. so, in other words, somebody like yourself or other experts who follow the fine print, you probably saw this a couple of years ago. >> it was in the june 14, 2010, federal register, but the fact is most americans listening to the president shouldn't need a lawyer or have to read the fine print. when he says if you like your plan, you can keep it. he didn't say if you had it on march 23, 2010, and it complies
7:08pm
with all of the fine prints we're imposing. that's not what he said. >> bill grace, the president all during this period when the hhs was null feig the grandfather clause the president was still out there telling people if you like your insurance, you can keep it. if you like your doctor, you can keep him. this is just a point. i have worked with president reagan, why didn't obama's senior advisers tell him that he was out there providing, shall we say, falsehoods because at the same time that these regulation were essentially proving him wrong, he kept saying that time and time again. to me, this is one of the worst parts of the story. there's no integrity to that process. >> there's no integrity and what you have now is older couples close to my age who have basically no interest in having children because they can't have children being forced to take maternity care and lactation
7:09pm
care and all kinds of specialty things you don't get in cadillac plans. you pay for it whether you need it or not. there is no ability for the consume tore select what they needed. it was just, we know best and when they don't know best. >> so the bottom, bottom line. >> and the union, by the way, got a separate grandfather sclauz without the fine print attachments coming later to nullify it. they got a real good guarantee upon. >> thanks, betsy mccaughey. i think we'll get kickman tim murphy in here. he was in the hearing today, but first off the markets didn't like what he had to hear from the federal reserve. i don't know why. >> did they overreact? we'll take a look at that and there's also late-breaking news from facebook. as always, don't forget, free market capitalism is the best path to prosperity. let me say for the 100,000th millionth time, this health plan has nothing to do with free market choice and capitalism. i'm larry kudlow. we'll be right back.
7:10pm
avo: the volkswagen "sign then drive" sales event is back. which means it's never been easier to get a new passat, awarded j.d. power's most appealing midsize car, two years in a row. and right now you can drive one home for practically just your signature. get zero due at signing, zero down, zero deposit, and zero first month's payment on any new 2014 volkswagen. hurry, this offer ends october 31st. for details, visit vwdealer.com today.
7:11pm
7:12pm
welcome back to "the kudlow report." i'm mary thompson. its earnings of 25 cents a share on an adjusted basis and revenue
7:13pm
of $2 billion both better than expected. as you can see it's fallen back to where it closed. the key to facebook's number its mobile ad revenue. it jumped to $800 million. as for today's session, the dow losing 61 points and the shares pulling back after the federal reserve left rates unchanged as expected. what spooked the markets was the fed statement that followed. while the central bank intends to continue the the easy money policy known as qe-3 the statement removed references found in earlier ones in threats to the economy and many saw this as a sign the fed thinks the economy is strengthening and might end qe sooner rather than later. larry, back to you. >> mary, why do you know more about this than i do? so facebook reports pretty good earnings and the stock jumps up big, but then the stock goes back down. is that just thin trading after hours or what? >> i think some people maybe were disappointed that the earnings weren't stronger than expected at that point. as you said, they both beat on
7:14pm
the revenue as well as the earnings side, but there seemed to be some disappointment after hours and people were looking back and saying it wasn't the blockbuster report they were expecting. >> mary thompson, thanks very, very much. now let's talk to andrew bush, author and publisher of the bush update. peter schiff joins us, the ceo of euro pacific capital. you know, i understand that they moved some things from the -- from the statement today, but i just have a totally -- i'm going to you, peter. i read "the new york times" sunday with this big story about the fed seeking to raise inflation and i believe -- i believe under janet yellin, just continuing ben bernanke, i call her the empress of doves that they would like to see an inflation rate of somewhere around 3% to 5% like guys like paul drugman have been advocating for years. so far it hasn't happened, but with i think that's the fed's policy. >> you can imagine how bad
7:15pm
inflation might be if the official numbers were 4% or 5% because i think it's already higher than that and the main reason it's not even higher is because we've been able to export that inflation abroad. when you go back to this fed statement the fed doesn't mention taper. it says adjust monetary policy. adjustment doesn't imply a direction. i think what the fed is getting ready to do is increase the amount of qe not diminish it it. >> andy bush, consumer price index is slowing down. twhafs today? a year on year, 1.2% and something like that. it's an odd thing that the reserves the fed has printed has not yet been converted into the money supply hence causing inflation, but i think they're going to hang in there and that's why i think they're going to keep buying bonds and keep hoping that somehow the inflation rate goes up. i think that's the policy and i don't care what the fomc statement is today. they want a 3% or higher inflation rate. >> that's right. it's shoulding that certainly would make chicago fed president charlie evans very happy because
7:16pm
he's advocated that, but the fed is like the rabid dog chasing its tail. if it lets the market know it wants to taper then rate goes up and then lo and behold, financial conditions grow tighter, and they mention that in september, but then as the market reacted to them not tapering financial conditions eased and in this statement they get rid of that statement about financial conditions tightening. it's a baht bad cycle that the fed's in. they're going to get trapped in this and i don't see a clear way out. they have to keep their balance sheet and they won't ever sell it. i'm not sure what they can do at this point. >> they have no way out. >> no exit strategy, no game plan. it's just as bad as the budget tax committees in congress. they have no exit strategy and no way out, but i'll just say this, look, i call janet yellin, with all respect, she's very smart. she's the empress of doves, that's what she is based on inflationism is the new goal at the fed.
7:17pm
first of all, we have nothing on which we should base calling her the queen of doves. >> not empress. >> nothing to base it on. >> why? >> her whole record is like that, but that said, let's step away from paul kru g-man. >> who won 6% inflation. >> don't those mean something to you quoted in a new york times story. >> forget the new york times story and i give him credit and he's someone i share a lot of views with, and i should be associated with him. it would be great for me, but there's something to be said in literature for a burst of inflation or a moderately high level of inflation, and underlying this entire discussion is exactly what you brought up which is that the cpi on a year over year basis less than the fed's target. so we can cream all we want about what the fed's doing and it's printing, it's printing, it's printing based on the way that the government measures inflati
7:18pm
inflation. >> peter, this story bothers me and it doesn't even have the patina of any control, say over the the value of the dollar. >> that's the treasury. >> it doesn't have any -- the fed is -- yes, it is the treasury, but the fed is an important driver, and anyway, since when does higher inflation promote better economic growth? since when does higher inflation help the economy? >> it doesn't. it retards it. this is a ruse. they don't want more inflation to help the economy. it's not going help the economy. what they want to do is sustain asset bubbles and they want to sustain government spending and they want to keep monetizing debt and they're looking for an excuse why they're not going taper qe because they can't. >> you think the federal reserve wants to create bubbles? >> that's all they've got. they can't take await punch bowl without bringing party to an end. they'll keep spiking it without making excuses. they'll never tell the the truth that they got us addicted to the cheap money and they can't take it away. the economy is in worse shape today than when the fed started in qe-1. >> think they have these
7:19pm
data-driven targets, but i think they don't want a 2% inflation target, andy bush. they want more upon. i believe if they can get it, if they can get it, they'd like 3%, 4% or 5%. >> they can't get it. >> evans clearly made that point. if we tolerated 1.5% inflation and then it's 2.5 then you can go to 3.5%. >> right. >> believe it or not, i agree with peter with this. inflation is kind of a ruse. getting higher inflation doesn't solve your problems. >> right. you've got to get job growth. >> it's ann -- listen to me. it's dan greenhouse. >> end, i've got to jump in here. dan greenhouse wants to become kenneth rogoff or paul krugman and he can create and control. >> inaccurate! >> burst of inflation. the burst of inflation.
7:20pm
>> not what i said. >> i came into business in the 1970s with with bursts of inflation. >> what you just said is an important point here. inherent to what all three of you are saying is that all inflation is created e kwa you will and it's not. nobody wants 1970s style inflation. >> how do you control it? >> i agree with you on that point, but let's end 3% inflation rate. >> it's the same thing as an 8% or 10%. >> it's not. >> but why is making the cost of living go up good for the economy? what ben bernanke is saying that the typical american, rises are not high enough. >> why have any inflation at all? >> we shouldn't have any inflation. >> prices were coming down. >> the gold standard and that was great because it raised the standard of living of average americans because their wages gained value. prices came down and that's what a healthy economy has. falling prices. >> no we didn't. no we didn't. >> i will tell you this. i happen to agree with you about the dollar, and i don't think they care one wit about the dollar. i call it king dollar.
7:21pm
i think they ought to use choedities in gold as the marker, but andy bush, before we go, again -- >> i thought the fomc's statement today was very disingenuous. the economy looks lousy, andy. can we get that on the table? >> yes. >> the jobs number, i don't care how you trend them, three month trend, jobs numbers are falling. i have another one for you just as bad, if not worse, basic business investment in long-term capital projects is actually declining. >> yeah. >> consumer spending slowing down. automobile spending slowing down. do you think the fed doesn't know that? >> well, and here i'll throw one more out at you and this is really critical for job creation. shawl business formation. it's cratered since 2005 and the fed knows that by engaging quantitative easing they've really taken away the own us on the government meaning congress and the president to do
7:22pm
something to help small businesses. >> and why shouldn't --? that's the key point and i think a lot of people missed that. >> why shouldn't -- >> why shouldn't rand paul, why shouldn't rand paul, andy, you go to washington a lot, why shouldn't he have his day in the sun and let him take a vote on the cao audit of the fed? why not? nobody knows what the fed is doing and nobody understands their so-called guidance and they change their ideas and one minute it's this. why shouldn't they have a discussion in in the constitution it says congress sets the value of money thereof. i give you the last word, andy bush. >> i don't think it's a bad idea, but it's bad to hold up the confirmation. they do need a vote on this, he has a good point and the fed does has to be looked at more skeptically with the size of the balance sheet and what they're doing without the oversight. >> we just had a 12-minute conversation about the fed. >> it's been five years of pouring money in and so far the economy -- all right. not as bad as it was in 2008, but so far this is the worst
7:23pm
recovery since -- peter schiff, really appreciate it. now, we told you that hhs kathleen sebelius was stonewalling for the entire hearing on capitol hill today. we're about to show you exactly what we mean in the highlight reel. you've got to see this. she is an awfully good bureaucratic stonewaller. >> it means winning the trust back of the american people. the american dream is of a better future,
7:24pm
a confident retirement. those dreams, there's just no way we're going to let them die. ♪ like they helped millions of others. by listening. planning. working one on one. that's what ameriprise financial does. that's what they can do with you. that's how ameriprise puts more within reach. ♪
7:25pm
7:26pm
but the president and his administration are not backing down. earlier today kathleen sebelius spent hours putting up a bureaucratic stonewall but at least one testy exchange with marcia blackburn, sebelius did apologize, sort of. take a listen. you decide. >> the site has had serious problems. >> who is in charge, madam secretary? >> the person now in charge as an integrator is qssi -- >> who was in charge as it was being built?
7:27pm
>> it was in charge -- >> at that team who is the individual. >> michelle snyder. >> michelle snyder is the one responsible for this debacle? >> well -- excuse me, congresswoman. michelle snyder is not responsible for the debacle. hold me accountable for the debacle, i'm responsible. >> okay. >> all right. that was very tough stuff from marcia blackburn who smoked out secretary sebelius. >> joining us now pennsylvania congressman tim murphy he was part of the hearing and he heads the subcommittee investigations and oversight. welcome back, mr. murphy, we appreciate it. let me ask you this. you had this big hearing with sebelius and you heard the president up in boston or got wind of it up in boston. they are to coin a phrase, stonewalling. in other words, they don't want to change anything and the reason i'm asking you this, sir, is there's some talk about a delay about the individual mandated parts of it, and i would positive you that they
7:28pm
would not want to delay anything. what's your take? >> well, i hear rumblings of that particularly from some members who with want to push bills like that, but i certainly don't hear the secretary or the president saying that, and i'm not sure they do. i mean, they are saying that this is a glitch, these are some problem, bumps in the road. this is a serious problem what's happening. people are scared to death because they're getting letters saying your insurance is being discontinued. they're finding more expensive options. yes, there are some less expensive options available and some people in some states and it's pretty frightening to people, and i think if they remain insensitive to those concerns that americans have because this is not turning out to be affordable and later on they may not be sure if they really care, there's going to be political pressure back on the white house and on the secretary to perhaps delay it. >> okay. you know more about that than i do, but i guess i want to ask you what you think is going to happen next because what they say today? the so-called computer glitches will be fixed in a month.
7:29pm
>> by november 31st. >> maybe that's true. maybe that's not true. the cancellations, people will go back on some kind of insurance even though the costs may be soaring and so forth. in other words, what happens here? does anything change at all or does it just roll through? because i guess i'm in the roll through camp that nothing's really going to change. >> i think what's happening is you've seen this first phase. the bridge is out on the issues with the website. will they eventually repair that? probably. will they do that before the end of november? i'm not sure. people are seeing this huge price shock which we knew was coming and which the administration was in denial. we're also finding out people can't keep the plan that they wanted and this is where the administration was in denial a long time, too. what's going to happen here is that the prices that people will find out they have to pay and they'll make decisions on a very, very short fuse, and come january what we hear more from people is hey, i can't see my
7:30pm
doctor. i can't go to the same hospital. what's going on here? so for all of the things which we continue to hear that people would have access to care if they had a pre-existing condition. good. we want that. that women will have more access to care. great, we want that, but what's going to happen overall is will continue to show serious problems. >> i don't think that young, healthy people want to pay much higher premiums to finance elders and sick people. i think the government should directly subsidize the elderly and the sick. i don't think it should be part of anybody's premiums at all or deductibles. i just looked around at mandate, right? if you load these up with mandates it's got to cost more money. it blows my mind that sebelius and the president are still telling us that premiums are coming down. just a couple of things. you probably know this stuff. there are mental health services and mammogram services and abortion services and fertility services and there's viagra, there's lactate services and
7:31pm
speech therapy in this thing. now, suppose i don't want that stuff, and i just want to pay, you know, a hundred bucks a month. i can't. >> that's right. >> why are they in denial over that? they refuse to are answer the fact that if you load the truck up with all these mandates it's going cost more. >> sure. and what they said, that's what they mean and they say if you like your health care plan they can keep it as long as it's exactly what they want and it's not going to happen. we were also promised when this bill was going through commitet and floor that the other mandate was that everybody has to buy it and prices would go down and we realize that that's simply not true because young people are finding themselves in a situation where their prices will go up. women who are pre-retirement will see their costs go up and people will start to say, wait a minute. you're asking me to pay for things i neither want or need, and if you could have offered people a basic plan where they had coverage for catastrophic care and the very thing you were saying people with the chronic illness there could have been
7:32pm
some other support for them which fell apart months ago in obama care, we could have had other ways to deal with it without a trillion dollar cover the. >> a transparent sub dee for those seriously ill and some kind of risk pool. just the last one. something they think deserves some greater attention is what obama care is doing and will do to medicare. they are robbing medicare of what $750 billion. >> yes. >> in order to finance obama care. let's not forget that. medicare say very popular program and inside medicare, sir, they are ruining the medicare advantage program which is also very efficient and very popular and by the way, free market choice. that's what they're doing. is that in the legislation? >> that's something i've been finding all along because i know medicare advantage does a lot of great prevention services and get seniors active out of their home. we know and research tells us
7:33pm
when people live life alone in solitude their chronic illness risk goes high and their early mortality goes high and depression and all of those problems and they'll defund this thing that really helps seniors. what we have to do is make sure that that's accessible and what they're doing is increasing the cost. here is the man behind the curtain. they say we'll save this money through reducing costs. they're going reduce costs by making seniors pay more, by paying doctors less and hospitals pay less. you can southeastecertainly com less. i have to figure out a way to save money and i'm not going pay you. >> i'll give you one last one. i'm going to bet, sir, i'm going to bet that most of the sign-ups, most of the sign-ups in the next year or two are going to be medicaid. medicaid, okay? and that is pure state-run health care. there's your single payer right
7:34pm
there. that's the model and that's where i think team obama wants to go. i'll give you the the last word. >> i think what we're already seeing and it's puzzling the administration won't tell us. i think what's already happening is the vast majority of those are medicaid, you're right. and i also think that young, healthy people say i may take this $95 fine. i don't have a few thousand dollars more to pay for this health care later on and financially this won't work. >> pennsylvania congressman tim murphy, thank you, sir. we appreciate your time very much. now, folks, obama care is not the only political battle brewing. there is a budget fight getting started again and this time it looks like it may be all about taxes. what a shocker that is. republicans say no new taxes, more democrats like harry reid and nancy pelosi are starting to demand tax hikes. i'm going to talk to one of the top senators that were in on the negotiations that began today. it's "the kudlow report." please stay with us.
7:35pm
♪ nice car. sure is. make a deal with me, kid, and you can have the car and everything that goes along with it. ♪ ♪ so, what do you say? thanks... but i think i got this. ♪ [ male announcer ] the all-new cla. set your soul free.
7:36pm
[ male announcer ] the all-new cla. maestro of project management. baron of the build-out. you need a permit... to be this awesome. and you...rent from national. because only national lets you choose any car in the aisle... and go. you can even take a full-size or above, and still pay the mid-size price. (aaron) purrrfect. (vo) meee-ow, business pro. meee-ow. go national. go like a pro.
7:37pm
welcome back to "the kudlow report." the now house senate budget conference held their first meetings today. they were challenged with crafting a budget deal by december 14th, but if today's meeting was any indication it may be easier said than done. just as bipartisan negotiations
7:38pm
get under way, the tax hike fight appears to be just beginning. democrats digging in. take a listen to this. >> while we scour programs to find responsible savings, republicans are also going to have to work with us to scour the bloated tax code and close wasteful tax loopholes and subsidies. >> revenue needs to be on the table. if you're not going have revenue, who's going to pay? medicare? that's not something that we can accept. no. >> all right. joining us to parse through this, congress member mike crepo, as always, senator, thank you for joining us. it's interesting, the headline in the wall street journal says the white house doesn't want new taxes, but the house leadership and the senate leadership do. who's right and who's wrong? how do you play this? >> it's hard to tell right now, but very clearly each side pointed out the important aspects of a budget deal to them today, and it was very clear
7:39pm
that there were some very big chasms between us that we will have to bridge. that being said, i was actually a little bit heartened by the fact that we all tended to talk about the fact that we need to find the consensus that we can build and find those areas where we do have overlap in our positions and build forward what we can. we probably won't get the grand bargain out of this conference and you know from our previous discussions that that's what i'm angling for, but i think there is an opportunity for us to protect the savings we currently have into place and maybe even move a little bit into reform of entitlement programs as we try to find a way to harden the impact of the registration while protecting levels. >> i interviewed paul ryan, budget chairman paul ryan two nights ago at the foundation dinner. he said, look, if we can't get any better than sequestration, then we'll take sequestration, and he said absolutely, taxes
7:40pm
are off the table. if reid, harry reid and nancy pelosi and patty murray are going to sit there and want to raise taxes, nothing's going to happen. take the sequestration and run. that's what i'd do. >> well, that's the bottom line. if nothing can be done except to hold the status quo and protect the budget control act savings that we put into place two years ago that will be a vickory because there's a clear effort under way right now to break the budget. we've got to stop the budget from being broken. the message i delivered today at the conference was let's accept the fact that we have to protect our current savings. and if we can at least build the foundation or the path way forward to deal with reforming our tax code and not just raising taxes to justify more spending -- >> that's the thing. that's exactly right. i'm glad -- perfect. okay? democrats are looking that the and they just want to jack up taxes. they want to go for so-called loophole, but they don't want
7:41pm
lower marginal rates on the other side and that's anti-growth tax hikes and correct me if i'm wrong, senator. they want to take that money and use it for their pet ro jects. at the moment, judging from the article in "the wall street journal" it sounds to me like reid and patty murray are to the left of obama on this. >> it's starting to sound like that and you're exactly right about the tax code. we have a tax code that is probably the most unfair, and the most complex and the most expensive to comply with and the most anti-competitive to american business interests that we could have created and what we have to do is move into the code and yes, reform it, clean it out and use that revenue to reduce rates and make america more competitive again. that's the focus. >> maybe we can grow at 4% or 5% instead of 1.5% to 2%. senator, let me ask you this, i agree with your ultimate grand design. i know where you're coming from and i know what your efforts have been in the last couple of
7:42pm
years, but for the moment that ain't going to happen. i think the sequester and the budget caps which have huge savings in place with much more to come are terrific. to me, smaller government means better growth in the economy, and i think it's the best achievement that the singular a achievement of the republican party. >> we are looking at over $2 trillion in reduction of federal spending over the next decade as a result of the budget control act which includes the sequester and we must protect that. the sequester admittedly is rigid in its across the board impact and there are ways we could softsen and improve the impact without losing those savings and we've got to remember that congress doesn't do very well at honoring its budgets and again, one of the messages i delivered today is we've got to protect that budget control act, but we've got to put budget enforcement mechanisms in place to ensure that we stay at it for the next ten years rather than having this annual fight over whether
7:43pm
to break that budget. speaking of the annual fights, last question for you, senator may be the hardest. can you and your committee make the december 13th deadline or are we going to go through all bloody hell again? >> i believe we will. i am cautiously optimistic if we can do so and if we do it will be something along the lines that you and i discussed here today with what we hope will be a path way to move into begger bigger or stronger reforms in the future. >> i will donate personally a nobody ileconomics prize if you can do it. >> mike crepo, thanks very much. now the budget was one issue where the republican party needs to put together a coherent winning message and they've got to do it fast. that was my challenge to mike leigh of utah, dan coates of indian and rising star tim scott of south carolina. that was all at the jack kemp foundation dinner and they all respond to my challenge next up on kudlow.
7:44pm
7:45pm
7:46pm
could save you fifteen percent or more on car insurance. yep, everybody knows that. well, did you know the ancient pyramids were actually a mistake? uh-oh. geico. fifteen minutes could save you...well, you know. i had the the great honor this week to host a dinner in honor of my friend the late, great jack kemp, a mentor of mine. it gave me the chance to sit
7:47pm
down with some leaders of the republican party and we played my interview last night with paul ryan. i also spoke with gop senator, mike leigh of utah, tim scott of south carolina and dan coates of indiana. we talked budgets and taxes and obama care and how these issues could impact the future of the gop. here's a sample of what they told me. >> we have been handed an absolute gift, and that is obama care. this thing is imploding before our very eyes. we need to unite together on a common message and we did have a difference upon opinion on tactics and not on goal, if we unite together and let this thing unfold and show a viable alternative we can win that '16 election and that's when things start to turn around and that's when this country explodes with economic growth. you have to get the what and the why right. >> the what, we're doing pretty well, lore taxes, less intrusive government and what we have to do is connect to the whys.
7:48pm
why are these policies important to the average person? part of the responsibility that we have is we can't say our doors are open. come on in. we have to be willing to go into places that we would consider an uncommon location for republicans to show up. sometimes we're only relevant every two or four years. i want to be relevant 365 days a year. >> that's what i will be talking about tomorrow. it's what we as conservatives want the kind of policies that unite us. >> give me a specific. >> one specific example and one that paul ryan and i have talked about extensively is pro-family tax reform. the kind of tax reform that would acknowledge the contribution that parents make. working parents are, in a sense, taxed twice. especially as it relates to the senior entitlement programs. they are taxed once when they pay their taxes and they're taxed again as they expend significant resources raising their children. >> the bottom line here is that we've got to win senate in 2014.
7:49pm
we are just outnumbered. >> right. >> thank goodness we have paul and his group this the house of representatives to hold the line for us, promote the ideas to us, but it's pure math. until we can get 51 or more republican senators everything the house sends over to us is dead on arrival, and then use that base to build toward the '16 election. >> all right. all very interesting stuff from three distinguished senators. now let's get back to our top story tonight and the continuing fallout from obama care. the president doubling down on the health care law even as a breaking nbc news wall street journal poll, breaking news shows his favorable rating sinking to an all-time low. we'll talk more about that with our obama care experts just ahead, but first, tonight's edition of obama care comic relief. >> it's being reported that the president has known for three years that people would lose their coverage.
7:50pm
the press is now saying the president lied. but today the white house said that's not true. he did not lie and they released this tape from three years ago to prove it. here's what he said three years ago. >> if you like your doctor -- you cannot keep your doctor. if you like your private health insurance plan. you cannot keep your plan. >> but -- there was some good news today for embattled health and human services kathleen sebelius. obama care will cover all her injuries after the white house throws her under the bus. so that's -- so she is fully covered. [ male announcer ] staying warm and dry has never been our priority. our priority is, was and always will be serving you, the american people. so we improved priority mail flat rate to give you a more reliable way to ship. now with tracking up to eleven scans, specified delivery dates, and free insurance up to $50 all for the same low rate. [ woman ] we are the united states postal service. [ man ] we are the united states postal service.
7:51pm
[ male announcer ] and our priority is you. go to usps.com® and try it today.
7:52pm
female narrator: the mattress price wars are ending soon the mattress price wars are ending soon at sleep train. we've challenged the manufacturers to offer even lower prices. now it's posturepedic versus beautyrest with big savings of up to $400 off. serta icomfort and tempur-pedic go head-to-head with three years' interest-free financing, plus free same-day delivery, setup, and removal of your old set. when brands compete, you save. mattress price wars ends soon at sleep train. ♪ your ticket to a better night's sleep ♪
7:53pm
>> once again our top story tonight. his favorable rating falls to an all-time low. the wall street journal poll has him at just 42% job approval, but he is not backing down and neither is his health secretary cag lean sebelius. she gave a master class in bureaucratic stonewalling on capitol hill today. she never let up. we'll give you some highlights right now. >> so let me say directly to these american, you deserve better. i apologize. i am accountable to you for fixing these problems. >> well, madam secretary, while you're from kansas, we're not in kansas anymore. >> that data out there exists --
7:54pm
>> sir, i would tell you right now it is not reliable data. >> you all won't tell us who made the decisions. >> i can tell you i did not design -- >> no, sir. no, sir. no, sir. we are responsible for the rollout. >> by the end of november we are committed that the vast majority of users will be able to review their options, shop for plans and enroll in coverage. >> would you commit today, secretary, to shut down the system and do an end to end security test? >> no, sir. sir, i didn't say that. yes, sir. i was wrong. yes. i don't know. you clearly -- whatever. >> yeah. i'm not surprised. there she goes. no delay of any part of the system, even the testing part. now here's another piece to the story about these insurance plan pink slips. consumers thrown out of their current plans and into the exchanges may find they might have far fewer insurance options than they might expect, companies like etna, cigna and unitedhealthcare are mostly staying out of the government
7:55pm
exchange game. all right. anyway, we bring back dr. bill grace. he's a friend of "the kudlow report" and knows all things about this and we have our friend betsy mccaughey, the auth offer -- what's the name of your book? >> "beating obama care." we don't have a lot of time, but i want to get this out. three huge companies have basically pulled out of the government exchange, etna, unitedhealthcare and sig that. what does that mean in the individual insurance market? what happens to them and the insurance customers? >> they predicted what was going to happen that inside the exchanges you have this absolute kinetics of trying to entice healthy young people in and the only people who really want to go in there are the sick people and they knew this thing was going fall apart and they wanted no part. >> lose money because of this? lose profits because of this? i go long on all three. >> you would? >> absolutely. because they won't be weighed
7:56pm
down and they'll be able to offer very inexpensive health insurance policies to young, healthy people and be able to keep their risk pools just perfect. >> i like that a lot. i like that a lot. >> but the big question that kathleen sebelius was not asked today is why this canadian company, cgi that had a bad track record, but a crony connection to michelle obama got a no-bid contract for the biggest part of this website. that stinks. >> what happened? >> why didn't anybody ask that? >> i don't know. did it come up at all this. >> i didn't see the -- >> it did not. i watched the whole thing. not only that, but the other issue is this, at one point kathleen sebelius said this is the law passed by the house, passed by the senate and signed by the president and vetted by the the supreme court, but it is not. the program they are rolling out is not the affordable care act. it's been mangled and distorted
7:57pm
by the president. gone is the employer mandate and the out of pocket expenses and the kind of income verification we were supposed to have have the the deadlines and he's add the waivers and the subsidies for members of congress. where is the rule of law? >> i will say this, you're right, but they're not going to change it. obama will not change one single thing. betsy mccaughey, thanks. i'm larry kudlow. we'll be back tomorrow night with more on obama care. more than a new interior lighting system. ♪ it is more than a hot stone massage. and more than your favorite scent infused into the cabin. it is a completely new era of innovation. and the highest expression of mercedes-benz. introducing the 2014 s-class. the best or nothing.
7:58pm
while a body in motion tends to stay in motion. staying active can ease arthritis symptoms. but if you have arthritis, this can be difficult. prescription celebrex can help relieve arthritis pain and improve daily physical function so moving is easier. because just one 200mg celebrex a day can provide 24 hour relief for many with arthritis pain. and it's not a narcotic. you and your doctor should balance the benefits with the risks. all prescription nsaids, like celebrex, ibuprofen, naproxen and meloxicam have the same cardiovascular warning. they all may increase the chance
7:59pm
of heart attack or stroke, which can lead to death. this chance increases if you have heart disease or risk factors such as high blood pressure or when nsaids are taken for long periods. nsaids, like celebrex, increase the chance of serious skin or allergic reactions, or stomach and intestine problems, such as bleeding and ulcers, which can occur without warning and may cause death. patients also taking aspirin and the elderly are at increased risk for stomach bleeding and ulcers. don't take celebrex if you have bleeding in the stomach or intestine, or had an asthma attack, hives, other allergies to aspirin, nsaids or sulfonamides. get help right away if you have swelling of the face or throat, or trouble breathing. tell your doctor your medical history. and ask your doctor about celebrex. for a body in motion.
8:00pm
[ engine revving ] >> this is a big business, taking away from you and me. >> they're more sophisticated. they're not the old, traditional peel-and-steal thefts. >> today's auto thieves are experts, and gone in 60 seconds or less. >> they will get a request for a car today, and they'll steal it tomorrow. >> the auto-theft industry today is responsible for more than $4 billion in losses just in the united states, and this global crime shows no signs of stopping. >> if it was a legal business, it would be one of the fortune 500 companies. >> i mean, everybody wants a nice car.

Terms of Use (10 Mar 2001)